Prime Minister Chính Engages South Korean Businesses to Strengthen Investment and Economic Cooperation
Hanoi, The Gulf Observer: Vietnamese Prime Minister Phạm Minh Chính held a high-level dialogue with South Korean businesses operating in Vietnam on Tuesday, reaffirming the government’s commitment to enhancing investment, trade, and economic cooperation between the two nations.
The event marked the ninth meeting between domestic and international business leaders in the past month, underscoring Vietnam’s proactive approach to fostering a dynamic and investor-friendly economic environment.
In his remarks, PM Chính highlighted South Korea’s substantial presence in Vietnam, with over 10,000 investment projects and total registered capital exceeding USD 92 billion. Bilateral trade between the two countries in 2024 reached USD 81.5 billion, with Vietnam’s imports from South Korea amounting to USD 55.9 billion. These figures demonstrate the strength of the comprehensive strategic partnership, with economic collaboration playing a pivotal role.
South Korean Ambassador to Vietnam Choi Youngsam, along with leading business executives, expressed strong approval of Vietnam’s improving investment climate. They commended recent reforms in legal frameworks and administrative procedures that have facilitated business operations. A recent survey indicated that 82 percent of South Korean enterprises were confident in Vietnam’s economic prospects and eager to expand their investments.
During the dialogue, PM Chính emphasized the importance of regular engagement with businesses to address challenges and foster a supportive investment environment. He acknowledged concerns over shifting global trade policies and called for proactive measures to stabilize regulations, particularly in high-tech industries such as artificial intelligence and semiconductors. Issues related to value-added tax (VAT) and import/export tax policies were also discussed, with the Prime Minister urging authorities to create favorable conditions for foreign enterprises.
Vietnam has been actively working to enhance its business environment by simplifying administrative procedures, streamlining labor permit processes, improving logistics services, and ensuring a stable power supply. These efforts aim to reduce operational costs and facilitate easier access to investment capital.
Recognizing the resilience of South Korean businesses amid global economic uncertainties, PM Chính encouraged them to expand operations and contribute to Vietnam’s long-term development. He called for greater collaboration in key sectors, including high-speed rail projects, nuclear energy, high technology, electronics, artificial intelligence, semiconductors, green energy, biotechnology, shipbuilding, automobile manufacturing, logistics, finance, and pharmaceuticals.
The Prime Minister urged Vietnamese ministries, agencies, and local authorities to swiftly address concerns raised by South Korean enterprises, ensuring a more predictable and transparent investment climate. He stressed that the two economies are complementary and should prioritize cooperation over competition.
Looking ahead, PM Chính reaffirmed Vietnam’s commitment to further improving its business environment through continued reforms. International rankings have reflected steady progress in areas such as digital governance, economic freedom, innovation, and sustainable development. The government remains focused on fostering digital, green, circular, and knowledge-based economies while refining tax policies and reducing protectionist measures to attract high-quality investments.
The dialogue concluded with a shared commitment to strengthening the Vietnam-South Korea economic partnership, positioning both countries for sustained growth and prosperity.
